在澳大利亚 The pool at of an IP needs to be resurfaced (or so the pool doctor says), the cost was estimated to be $10K ($10,000), after recoverying from my impresssion of a cat coughing up a fur ball, it just seems far too much. Its just a standard poo I need some advice regarding a property purchase. Property - semi-detached house Bedrooms - 2 Condition - average needs internal reno to modernise Street - one of the best in suburb Location - excellent Close to schools - yes Transport - 50m
Recently went to a seminar by Joseph Chou of Ironfish invest co propmoting apartments & various other developments see www.ironfish.com.au for details.
Has anyone had dealings with this company?
Any comments on the idea that wealthy asian migration esp chinese will push the apartment market & the "old idea that land appreciates property deprediates" no longer applies with this trend & the rise of single female households who will put further pressure on the appartment market?
barney said: ↑
Any comments on the idea that wealthy asian migration esp chinese will push the apartment market & the "old idea that land appreciates property deprediates" no longer applies with this trend & the rise of single female households who will put further pressure on the appartment market?Click to expand...It's probably true re the wealthy asian migration thing. However, that only tells you that demand for apartments will increase. It doesn't answer the question why apartments will be better investments than houses? My own opinion is that demand for BOTH will rise. Sure, your wealthy Chinese or whatever will want a pied-a-terre on the Gold Coast or Sydney City. That has been happening for decades. However, your young families will still want houses, so demand isn't going to decrease.
The decision is not so much whether high rise apartments are a good investment, but whether it is a better investment than suburban houses.
For my own money, I'm still betting the historical source of growth for mid to outer ring suburban houses (increasing population means increasing demand for houses, suburb creep, redevelopment value) will continue. Apartments (esp high rises) are just too volatile for my risk profile. Witness what happened when the Japanese boom ended and wreaked havoc on the Gold Coast. Of course, if you'd timed it right you would be making a LOT of money very quickly on OTP. I'm not so confident with my timing (and don't have enough assets) that I can afford to play with that sort of risk.
I recon its always land unless you are selling apartments
I've been doing research on villa/ house price for a suburb I'm looking at. Just to verify if its worth paying what seems a high price in $ terms for an established house on a 750m block. Numbers aways help me to quell emotion.
2001 Villa 90k, villa build cost 60k,House 120k ie V/H = 75%
2004 Villa 180k, villa build cost 90k, House 240k ie V/H = 75%
2007 Villa 280k, villa build cost 120k, House 290k ie V/H = 96%
If 75% is the true average ratio then houses on full size blocks should cost around 370k, at the present 290k you are buying at land cost. Unless the villas are overpriced which means that their true value is around 220k. Either way Houses are a good bet at the moment, in the worst case scenario houses are true value or best case scenario 27% undervalue . Am I missing something, if so would appreciate feedback